Cash balance plans are retirement plans that allow high income business owners to put away more money for retirement. Similar to a 401(k), this allows you to defer income to a time when your tax bracket will be much lower.
In contrast to the 401(k), which only allows $55,000 contributions with $6,000 catch-up contributions, the cash balance plan could permit you to defer $100,000 to $300,000 additionally.
At First National Corporation, we are able to walk you through how to properly set this plan up while providing a stable investment solution. To read the full blog, click below:
Cash Balance Plans Lower Taxes for Small Business Owners
